Credit Suisse has a “neutral” recommendation on James Hardie Industries and a $15.20 target price. The broker noted that Louisiana Pacific, a rival for JHX in the US siding and trim market, has reported good second-quarter results, which could offer some insight into how things are going in the US before James Hardie reports on August 15.

The European Central Bank signalled it stands ready to print money and buy bonds if the euro zone slides towards deflation. “There is no doubt if you look at the world today that the geopolitical risks have increased,” Mario Draghi said, highlighting the uncertainty created by the situation in eastern Ukraine.

In late New York trade, the euro edged off from the session low of $US1.3336, trading down 0.12 per cent at $US1.3365. The US dollar gave up gains on the yen made after news that Japan's public pension fund plans to increase asset allocations to the domestic stock market. The dollar fell 0.09 per cent to 102 yen.

German Bunds slid to a record low of 1.069 percent while the 10-year UK gilts yield touched a one-year low of 2.476 percent.

Ten-year US notes, whose yields topped 2.50 per cent on Tuesday, were up 13/32 in price to yield 2.427 per cent, which was the lowest payout on the issue since May 29.

Commodities

Nickel prices rose to a 1-1/2 week high, lifted by the closure of a mine in Papua New Guinea and the prospect that wider Western sanctions against Russia could soon affect the major producer of the metal.

LME copper rebounded after touching a five-week trough in the previous session, but remained sensitive to macro-economic data and dollar movements. Benchmark three-month LME copper closed 0.4 per cent higher at $US6999.

China has lost its appeal at the World Trade Organisation in a case brought by the United States, the European Union and Japan to challenge China’s restrictions on rare earths exports.

Gold and oil prices rose after the New York Times reported that US President Barack Obama was considering air strikes and emergency relief airdrops to help 40,000 religious minorities in Iraq.

United States

US stocks ended lower on Thursday, with concerns over a sanctions faceoff between Russia and the West erasing morning gains on upbeat jobs data.

The number of Americans filing new claims for unemployment benefits unexpectedly fell last week, pointing to a further strengthening of labor market conditions. Initial claims for state unemployment benefits decreased by 14,000 to a seasonally adjusted 289,000 for the week ended Aug. 2, the Labor Department said

News Corp, publisher of the Wall Street Journal, reported a 3 percent decline in quarterly revenue as advertising sales remained weak and subscription income fell.

Zynga's bookings fell 6.7 per cent to $US175 million in the second quarter, as the publisher of "Farmville" and other games struggles to expand its mobile business and stem user losses.

Europe

The European Central Bank signalled it stands ready to print money and buy bonds if the euro zone slides towards deflation. “There is no doubt if you look at the world today that the geopolitical risks have increased,” Mario Draghi said, highlighting the uncertainty created by the situation in eastern Ukraine.

Deutsche Telekom rejected an offer from Iliad for its mobile business in the United States and said regulators there should help smaller players compete against bigger rivals if they are not allowed to merge.

The Bank of England kept interest rates at their record low, giving Britain's fast economic recovery more time to build even as differences among its policymakers become more apparent.

What happened yesterday

Australian shares extended their longest losing streak in eight months on Thursday as a jump in the unemployment rate to a 12-year high caught investors by surprise. It was the fifth consecutive session of losses on the local bourse.

The last time shares fell for more than five sessions in a row was when the market retreated for six sessions straight in early December as signs of strength in the US economy foreshadowed the start of a reduction in the Federal Reserve’s asset-buying program that month.

The benchmark S&P/ASX 200 Index and the broader All Ordinaries Index edged down less than 0.1 per cent on Thurs­day to 5509 points and 550.7 points respectively. After opening high­er, the market quickly fell away, having taken a weak lead from Wall Street.

The number of Americans filing new claims for unemployment benefits unexpectedly fell last week, pointing to a further strengthening of labor market conditions.
Initial claims for state unemployment benefits decreased by 14,000 to a seasonally adjusted 289,000 for the week ended Aug. 2, the Labor Department said on Thursday.